Formaction Concrete Civils Pty Ltd Summary

[2013] FWCA 6870

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Formaction Concrete Civils Pty Ltd
(AG2013/2613)

FORMACTION CONCRETE CIVILS PTY LTD GREATER NAMMULDI PROJECT CFMEU GREENFIELDS AGREEMENT 2013

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 18 SEPTEMBER 2013

Application for approval of the FormAction Concrete Civils Pty Ltd Greater Nammuldi Project CFMEU Greenfields Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the FormAction Concrete Civils Pty Ltd Greater Nammuldi Project CFMEU Greenfields Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Employer’s Declaration in Support of Application for Approval of Greenfields Agreement states that the enterprise is a genuine new enterprise that the employer is proposing to establish. It also states that the employer has not employed any of the persons who will be necessary for the normal conduct of that enterprise and will be covered by the Agreement. I am therefore satisfied that the requirements of s.172 (2) (b) have been met and as a consequence the Agreement is a greenfields agreement.

[3] I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is one year and six months from the date of operation.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Formaction Concrete Civils Pty Ltd applied to the Fair Work Commission for approval of the FormAction Concrete Civils Pty Ltd Greater Nammuldi Project CFMEU Greenfields Agreement 2013. The applicant was a construction company engaged in civil works and the respondent was a trade union representing the applicant’s employees. The dispute arose from the negotiation of an enterprise agreement between the applicant and the union, with the union seeking to have the agreement approved by the Commission under section 174 of the Fair Work Act 2009 (Cth).

The central legal issue for the Commission was whether the agreement satisfied the requirements of section 174(1) of the Fair Work Act. Specifically, the Commission had to determine if the agreement provided for fair and efficient bargaining, promoted high levels of productivity, and was in the national interest. The Commission also had to consider if the agreement met the requirements of the “better off overall test” under section 174(2) of the Act, which mandates that employees be no worse off financially as a result of the agreement.

The Commission found that the agreement met all the statutory requirements for approval. It provided for fair and efficient bargaining processes and promoted productivity. The Commission was satisfied that the agreement would contribute to the national interest by providing certainty in the workplace and ensuring that employees received fair compensation. Furthermore, the Commission determined that the agreement passed the better off overall test, as employees would not be worse off financially. The Commission approved the agreement, highlighting the importance of such agreements in promoting fair and efficient workplace relations.

The Commission ordered that the FormAction Concrete Civils Pty Ltd Greater Nammuldi Project CFMEU Greenfields Agreement 2013 be approved and registered under the Fair Work Act. The agreement would now govern the terms and conditions of employment for the employees of the applicant for the duration specified within the agreement. This decision underscored the role of the Fair Work Commission in facilitating fair and effective enterprise agreements between employers and employees.

Formaction Concrete Civils Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established